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July 12, 2006
Mostly charts here, including 30 year monthly's to give you a
better picture as to where all of these markets have been in the
past...and therefore could go there again, if not higher.
Weather is a major issue right now...Following USDA reports this
morning, all of these major US crops traded lower then firmed up into
the close, led by new recent high closes in Corn...I continue to buy
Corn, Cotton, Soybeans and Wheat... Considering the world
stocks situation, the Chinese shift from exporter to importer in a
number of markets, and what is feeling like the hottest summer I can
personally remember in years, I have no idea how high (if at all) any of
these markets could go, nor which of them could be the biggest...So I
want to own them all, with futures or with options or with combinations
of both.
For my money, you just get on, define your risk, add if they start
working....and see what happens. Seems like everything else we trade has
been through giant bull moves during the past few years and it sure
seems like the stage is set for the same thing to happen in this section
of the futures markets.
For what it's worth...after recommending it for over a year now I'm sure
no one is listening...But I swear, the cotton market is
ready. At SOME point, Cotton will do what it is "famous"
for, which is start up out of nowhere and just go...I'd be wasting my
breath to give you reasons why I think we're "there", but I look at
slightly out-of-the-money options in cotton and see enormous leverage.
This IS a market that can make giant moves, and if Cotton is not going
down from here, it is probably going up through the contract highs and
far beyond that before December goes off the board...
If you're interested in any of what is here, give me a call and I'll
give you the numbers...And if you are
interested, I wouldn't wait around.
Thanks,
Bill
866-578-1001
770-425-7241
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